The latest figures from the Central Statistical Office (GUS) show that consumer goods and services prices increased by 4.7% annually in December 2024. The average yearly inflation for 2024 was 3.6 percent, which means a sharp decrease compared to the 11.4 percent figure recorded in the erstwhile year.
Price increases in December 2024
In December 2024, compared to December 2023, prices of services increased by 6.6% and prices of goods by 4%. Monthly prices remained akin to November, with a minimal increase in service prices of 0.1% and unchangeable commodity prices. According to the CSO, "The increase in consumer goods and services prices in 2024 compared to the erstwhile year was 3.6 percent".
What categories affected inflation?
The CSO points out that in December 2024 price increases in terms of:
- Food – an increase of 0.2%, which increased inflation by 0.06 percent points.
- Transport – an increase of 0.6% (impact on the index: 0.05 percent points).
- Restaurants and hotels – increase by 0.3% (impact: 0.02 percent points).
- Health – an increase of 0.4% (impact: 0.02 percent points).
Products with the highest price increases
In the food category, crucial price increases were noted for:
- Butter – an increase of 8.7 percent year-on-year.
- Animal fats – increase by 7.5% y/y
- Bread – increase by 4.9% y/y.
Products with the highest price drop
At the same time, prices fell in another categories, resulting in a decrease in inflation:
- Sugar – decrease by 23.9% y/y.
- Vegetable fats – decrease by 7.5% y/y.
- Flour – a decrease of 3.7% y/y.
Lower prices were besides noted in terms of:
- Clothing and footwear – decrease by 1.5%.
- Alcoholic beverages and tobacco products – drop by 0.6 percent.
- Recreation and culture – decrease by 0.3%.
Fall in average yearly inflation in 2024
The average yearly inflation in 2024 was 3.6 percent, which represents a crucial decrease compared to 2023, erstwhile the rate reached 11.4 percent. This is the consequence not only of price stabilisation in many categories, but besides of lower dynamics of growth in the food and energy sectors.
Expert comments
In preliminary estimates, the CSO reported that inflation for December 2024 could scope 4.8 percent. Experts expected an increase in prices of 4.8% year-on-year and 0.2% per month. The final consequence somewhat below the expectations of economists indicates further price stableness in the economy.
Summary
The year 2024 brought a crucial cooling of the dynamics of price growth in Poland, which can be considered a affirmative signal for the economy. Although any categories, specified as butter or animal fats, recorded crucial price increases, the overall inflation rate remained comparatively low. Price decreases in many key areas, specified as sugar and vegetable fats, have contributed to halting the increase in life costs.
Further improvement of the inflation situation in Poland will depend on factors specified as monetary policy, global marketplace situation and economical growth in the country.
In December 2024. #Prices consumer goods and services increased by 4.7% compared to December 2023 (price index 104.7).https://t.co/85EX2BE1cT#GUS#StatisticsPrice indicatorpic.twitter.com/lUHXqfbGtw
— GUS (@GUS_STAT) January 15, 2025
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Inflation in Poland in 2024: How were the prices of consumer goods and services developed?
